The present invention has to do with a machine tool that combines certain features of lathes and mills. Prior art machine tools of the character referred to in the foregoing are characterized by elongate axially shiftable and rotatable work piece carriers that carry and rotate work pieces about turning axes and that feed the work pieces longitudinally of the turning axes into working relationship with rotating cutting tools (in the nature of fly cutters) that are carried by cutting tool carriers. When these noted prior art machine tools are operated, a piece of work is rotated and advanced longitudinally of a turning axis toward a cutting tool at predetermined rates. The cutting tool is rotated at a different and predetermined rate so that the cutting tool intermittently strikes the work piece at predetermined positions about its perimeter, as it is rotated and advanced to the cutting tool. Such machine tools are particularly suited to machine flats, various sizes and shapes of grooves, channels, gear teeth and the like on or in work pieces in an effective and efficient manner.